Grant O’Brien finally leaves Woolworths

Woolworths chief Grant O’Brien left the retailer last night seven months after first announcing plans to retire.

Grant O'Brien, left, with Woolworths chairman Gordon Cairns. Picture: Adam Yip

Outgoing Woolworths chief Grant O’Brien formally finished his term at the retailer last night, seven months after announcing plans to retire.

Mr O’Brien’s departure and the impending resignation of supermarket boss Brad Banducci suggests the company is close to hiring a replacement as chief executive. Staff were told about the move last night.

The move comes as the failed Masters hardware chain is expected to trigger a $1 billion-plus writedown at Woolworths that will drench its half-year accounts in red ink and possibly see the supermarket giant report its first loss since it listed on the stock exchange in 1993.

Chairman Gordon Cairns has promised to get a new boss in place by the end of this month.

If a decision has been made the company is keeping it close to its chest with little in the way of informed speculation.

Mr Cairns has been hunting for a new CEO to replace Mr O’Brien since last year and last month was understood to have been flying candidates to Australia to inspect Woolworths and meet directors.

Mr O’Brien was planning to stay until the middle of this year when he turns 55 and qualifies for generous retirement benefits.

The retailing major would be expected to put transitional arrangements in place to ensure the payout for Mr O’Brien.

Last year Woolworths said it was expecting net profit for the first half of between $900 million and $1bn, reflecting a 28-35 per cent slump on the first half of 2015. If the Masters writedown is greater than $1bn, Woolworths could report a bottom-line loss for the half.